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New Jersey Orders Costco to Open Pumps to Public

Chain's membership requirement violated state laws.

May 19, 2004, 08:00 pm

WEST PATERSON, N.J. -- Motorists in New Jersey searching for cheap gas no longer have to bypass the pumps at Costco simply because they are not members of the warehouse club. Costco's membership requirement violated New Jersey laws regarding fuel sales, state consumer officials said.

When the company was informed of that by the state two weeks ago, it removed the members-only signs from the pumps in Clifton and Ocean Township, its two New Jersey locations that sell gasoline, Paul Latham, vice president of gasoline for Costco, told the Herald News of West Paterson.

Early this week, the Clifton site was selling regular for $1.83 a gallon, less than some nearby stations. Costco, based in Issaquah, Wash., has 11 stores in New Jersey. Memberships cost $45 a year.